When a company sells off part of the business, this would be reported on the Income Statement:
A) as a retrospective application.
B) in the discontinued operations section.
C) in the continuing operations section.
D) in the other income (expense) section.
B) in the discontinued operations section.
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Carrington & Co rented office space to a tenant on January 31 and received a total of $9,000 for the first three months of rent. The amount was recorded as Rent Collected in Advance when received. Adjustments are recorded only at the end of every quarter. What effect does the adjustment at March 31 have on Carrington's net income for the quarter ending March 31?
a. Increase by $9,000 b. Decrease by $6,000 c. Decrease by $3,000 d. Increase by $6,000
A corporate director can be held individually liable for a crime the director committed on the
behalf of a corporation, but cannot be held liable for crimes committed by his or her subordinates. Indicate whether the statement is true or false
In trying to assure that managerial actions lead to shareholder value maximization, a risk can come about if the market value of a firm becomes less than its book value. The risk is
A. the firm will be delisted by the stock exchange. B. it becomes an attractive takeover target. C. the Securities and Exchange Commission will not allow it to declare dividends until the market value exceeds the book value. D. the firm will be unable to service its debt.
Traditional product-costing systems are structured on multiple, volume-based cost drivers.
Answer the following statement true (T) or false (F)